Analysts rule out tariff hike by telcos in Jan-Mar quarter

Despite earlier optimism around a near-term reset, analysts now do not expect a tariff hike in the January–March quarter, pushing the next round of telecom pricing intervention back by at least a quarter, if not longer.

Experts cautioned that hopes around pricing have run ahead of on-ground developments. “Market expectations of price increase (both timing and magnitude) are too optimistic and see room for disappointments,” analysts from UBS said. The brokerage said that while government relief for Vodafone Idea and a potential Reliance Jio listing could eventually act as triggers, neither is imminent enough to support a March-quarter tariff hike.